Investor Confidence in the Eurozone Rose to 29.8, EUR/USD Pares Gains Above 1.1850

6 July 2021 | Updated: 6 July 2021

Investor confidence in the eurozone rose to 29.8 in July from 28.1 but fell short of expectations at 30.2. However, this is the fifth consecutive growth and the highest since February 2018. The Current Situation Index rose from 21.3 to 29.8, the fifth consecutive growth and the highest since October 2018. However, the investor confidence index of expectations fell from 35.3. to 29.8, the lowest level since December 2020.

Sentix declared the “result is impressive,” but “we are approaching a certain point of maximum momentum in the short term,” as expectations fell. “For the economy as a whole, this is not yet an alarming recession. On the other hand, for stock markets, which are largely focused on investor expectations, such a development of events may contribute to increased market volatility.”

It said: “In this situation, the ECB remains in the spotlight. So far, there are no signs of abandoning the expansive monetary policy. However, the inflation barometer, which remains clearly in negative territory at -38.25, underlines the danger of further growth in inflation in the face of an increasingly synchronized global economic recovery.”

Investor Confidence: EUR/USD Trim Gains Above 1.1850

The EUR/USD plummeted to 1.1851 on Monday after hitting resistance at 1.1880, wiping away the previous day’s gains. It’s currently trading at 1.1885, up marginally on the day and holding onto its gains from Monday’s low. The dollar has lost momentum across the board in recent hours, and it has reached daily lows against most of its rivals.

The DXY has dropped to 92.20 points. In the United States, price movement is muted after the holiday. The FOMC minutes will be released on Wednesday, and business will resume on Tuesday.

The prevailing trends appear to be continuing to favor a rebound, and the price has just rallied above the moving average of 13 on the daily charts and has also made a remarkable recovery from the multi-month low near 1.1800. The recovery appears to have some promise. On the upside, the 1.1900 area is the next resistance, followed by 1.1920. If the price falls below 1.1840/50, the upward impetus will be lost, exposing the 1.1835 support and the recent low.

  • Broker
  • Benefits
  • Min Deposit
  • Score
  • Visit Broker
  • Fund Moneta Markets account with a minimum of $250
  • Opt in using the form to claim your 50% deposit bonus
$250 Min Deposit
9
  • 20% welcome bonus of upto $10,000
  • Minimum deposit $100
  • Verify your account before the bonus is credited
$100 Min Deposit
9
  • The Lowest Trading Costs
  • 50% Welcome Bonus
  • Award-winning 24 Hour Support
$200 Min Deposit
9
  • Award-winning Cryptocurrency trading platform
  • 14 Cryptoassets available to invest in
  • FCA & Cysec regulated
$200 Min Deposit
9.8

Highly volatile unregulated investment products. No EU investor protection.

  • Over 100 different financial products
  • Invest from as little as $10
  • Same-day withdrawal is possible
$100 Min Deposit
9.8
  • Trade top Cryptos such as Bitcoin, Litecoin and Ethereum plus more
  • Zero commissions and no bank fees on transactions
  • Around the clock service with support in 14 languages
$100 Min Deposit
8.5
  • Award-winning Cryptocurrency trading platform
  • $100 minimum deposit,
  • FCA & Cysec regulated
$100 Min Deposit
9.8
Share with other traders!

Azeez Mustapha

Azeez Mustapha is a trading professional, currency analyst, signals strategist, and funds manager with over ten years of experience within the financial field. As a blogger and finance author, he helps investors understand complex financial concepts, improve their investing skills, and learn how to manage their money.